1. Identify whether the property is in probate

First determine whether the house is held in a way that requires probate. Common situations:

• There is a will and the deceased’s assets (including the house) are subject to probate.
• The house was owned solely in the deceased parent’s name at death and must pass under the Probate Act.
• The property is held jointly with rights of survivorship or is titled in a living trust — these often avoid full probate.

If probate is required, a personal representative (executor or administrator) must be appointed by the probate court before the estate’s assets (including real estate) can be sold by the estate representative in most cases.

2. Open probate or confirm authority to sell

If an executor or administrator has not yet been appointed, someone (often a beneficiary or heir) must file a petition to open probate in the county where the deceased lived. Once the court appoints a personal representative, that person has legal authority to manage estate assets, pay debts, and—if necessary—sell estate real property subject to court approval or statutory authority.

The Probate Act controls estate administration. See the Act: https://www.ilga.gov/legislation/ilcs/ilcs3.asp?ActID=2108&ChapterID=60

3. Give notice to creditors and known claimants

Under Illinois probate procedures, the personal representative must notify creditors so they can present claims. Typical steps are:

1. Publish a notice to creditors in a local paper as required by the Probate Act.
2. Mail direct notice to known or reasonably discoverable creditors (for example, mortgage lenders, medical providers, and other entities who provided goods or services before death).

Creditors must present timely claims against the estate. Illinois law sets the timelines and procedures for creditor claims under the Probate Act (see the Act linked above). In practice, the estate should wait the applicable statutory claim period before making final distributions or selling property, unless the court orders otherwise.

4. Inventory and identify liens, secured claims, and priorities

The personal representative should order a title search and lien search on the house to reveal:

• Mortgages and other recorded liens (tax liens, judgment liens, mechanics’ liens).
• Unrecorded or known unsecured claims (medical bills, credit cards).
• Any ongoing tax obligations and unpaid property taxes.

Secured claims (like a mortgage) must typically be paid or assumed at sale. Unsecured creditors file claims against the estate and are paid from estate assets according to priority rules and available funds.

5. Resolve claims or obtain court direction before closing

Common options to clear claims before selling:

1. Pay allowed creditor claims from estate funds at or before closing.
2. Obtain creditor releases or payoff statements for secured debts (mortgages, tax liens) and provide those payoffs at closing.
3. Ask the court to approve a sale and distribution plan: the personal representative can petition the probate court for an order authorizing sale of the real estate and directing how sale proceeds should be handled (for example, holding proceeds in escrow until the claims period ends or creditors are paid).
4. Use an escrow or holdback: title companies often permit an agreed holdback of part of the sale proceeds to cover possible creditor claims, with the court’s or parties’ approval.
5. Obtain title insurance: title companies will require payment of mortgages and recorded liens at closing; they may offer exceptions for unresolved claims unless the court clears them.

If the estate lacks funds to pay claims, the court may need to supervise distributions or authorize sale with priorities set by law. Selling real estate without clearing liens can expose buyers or the estate to title problems; most buyers and lenders demand clear title or a plan to resolve defects.

6. Timing: when it’s safe to sell

Prudent practice is to wait until:

• The statutory notice period for creditor claims has run, or the court has authorized sale before the period ends, and
• All recorded liens and allowed claims that will attach to the property are satisfied or will be paid from closing.

If you must sell earlier, get a court order authorizing the sale and directing how proceeds will be handled (common where the estate needs liquidity to pay debts or taxes). The probate court can also approve a sale free and clear of certain claims if proper procedures are followed.

7. Closing and distributing proceeds

At closing, typical steps include:

• Mortgage payoff and release of recorded liens.
• Payment of estate administration expenses and allowed creditor claims, or deposit of funds into court-supervised escrow if disputes remain.
• Obtaining title insurance for the buyer, which usually requires lien payoffs or court instructions covering unresolved claims.

After the sale, the personal representative must account to the court and beneficiaries and follow court orders or the Probate Act for final distributions.

Practical checklist (summary)

1. Confirm whether the house is subject to probate.
2. Have a personal representative appointed if necessary.
3. Give published and mailed notice to creditors under the Probate Act.
4. Order a title and lien search; get payoff amounts for mortgages and tax liens.
5. Decide whether to wait for the creditor claim period to expire or ask the court for an early sale order.
6. Obtain creditor releases/payoffs or arrange escrow/holdback approved by the court.
7. Close the sale with title insurance and pay off recorded liens at closing.
8. File accountings and distribution documents with the probate court as required.

When to get a lawyer

Consult an Illinois probate attorney if any of the following apply:

• There are contested creditor claims or complex creditor priorities.
• The estate lacks sufficient cash and you need to sell property to pay debts.
• Title or lien issues appear in the search.
• Multiple heirs disagree about selling the house.

An attorney can petition the court for sale authority, draft notices, resolve claims, and protect the personal representative and heirs from later creditor disputes.